regarding globalization

According to Deresky's definition of globalization in his paper, globalization refers to the mechanism of economic business expansion to different foreign markets from the origin region. This includes going from one country to another, which involves legal restrictions and customs. Regionalization, on the other hand, allows for free incorporation across borders within a given country. It also contributes to the expansion of globalization. Regionalization and globalization policies include both offensive and defensive strategies. Paik & Sohn, J.H.D. Striking a Balance between Global Integration and Local Responsiveness: the Case of Toshiba Corporation in Redefining Regional Headquarters Role, Organizational Analysis, vol. 12, no. 4, pp. 347-359.2004
In this article, Paik and Sohn discuss the strategies that companies can employ to beet global competition. The strategies they mention can be used to maintain the top position in the local and existing market. For instance, in case a company highlights its unique selling point and the advantage of the products and service they offer to be better than those of the competitors. Well established markets are best fit in adopting this strategy since its aims are to hold the top position and push away the competition. The strategy does not attract the customer’s attention for the first time but rather keeps the market reputation intact. It also helps to keep the confident of the customer which cannot be disturbed by the competitor.
Evanoff, D. D. (2009). Globalization and Systemic Risk. Singapore: Hackensack World Scientific.
According to Evanoff, defensive strategy enables the companies to decrease their expenses and maximize their profit. This makes them more competitive with other countries making them not lag behind. German’s Adidas and Volkswagen is a good example of a company that adopted the strategy and has worked. Another strategy of globalization and regionalism is the regulations and restrictions put by home countries. The government imposes strict conditions and regulations to the local companies this making them trade internationally with less strict companies, for example, Toshiba company. Customer demand is another factor which facilitates globalization and regionalization with other countries. Low demand for products in local markets has led to the companies trading across the border where demand is high. Nike Company is a good example since it moved to Mexico where there was high demand for the product.
Guay, T. R. (2007). Globalization and its implications for defense industrial base. Strategic Studies Institute.
Goay gives highlights of aggressive strategies in his article, according to him, these strategies encourage companies to go internationally. This strategy is significant since it enhances growth and development of companies through exploring globally for new opportunities thus remaining competitive in the marke. For example, the Samsung company which sponsored the Athens 1004 Olympic Games. Accessibility of resources is another factor that has led to globalization and regionalization. Companies are able to maximize resources, therefore, cutting the cost. This makes the company be closer to the source of resources thus reducing the transportation cost.
Lemert, C. C. (2016). Globalization Effects. Taylor and Francis.
Lemert also gives different insights on the effects of globalization; some of the issues discussed are like shifting production. According to him, shifting production to cross the border is another strategy which improves competition in the home country. Through this consumers are able to get high-quality products. The AOL Company that deals with telecommunication are a good example since it moved from the United States to larger Euro. Giving investors incentives is another strategy which has led to globalization and regionalism. That is, the government in developing countries that are seeking the latest technology and the capital to enhance growth and development give investors some incentives. Many companies are likely to be attracted by this act.
Haugen, D. M. (2010). Globalization. Detroit: GreenHaven Press.
Haugen highlights issues t dal with offensive marketing plans. Offensive marketing plan refers to the act of taking the market share away from a particular company and bringing it to another company. A good example is a case for the motorcycle business. The market share of Harley-Davidson Company had started to decline while the competitor's company such as Japanese company Honda controlled more of the market in the United States. Harley, therefore, used offensive strategy to convince the customers that the motorcycle competitors are offering inferior products while Harley’s motorcycle offers products with unique and up to date features. This made Harley business to grow while his competitors business went down.
Nandi, P. K. (1998). Globalization and the evolving world Society. Leiden [u.a,: Brill.
In defensive marketing strategy, the Newton’s law of motion is applied perfectly well. Emerging of new products in the markets makes companies feel more threatened. Therefore when the situation of competition arises, the defensive strategy is used to weaken competition by used to techniques which capture customer’s interests. This can be done through the rebranding of the products, producing high quality product that meets that customer’s taste and preference. Advertisement can also be used to attract the customer’s interest through highlighting specific features of its product. These makes the competitor’s products feel inferior when they compare the products. The Apple Company which produces MAC held a campaign and highlighted its own features in comparison to the DELL which produces PCS. This weakened the competition between Apple and DELL and created a success factor.
Baylis, J., Owens, P., & Smith, S. (Eds.). (2017). The globalization of world politics: An introduction to international relations. Oxford University Press.
The two speak of the importance of defensive strategy in business and is elation to globalization. Defensive strategy helps in protecting the territory of a market acquired by competition product. The companies come up with new techniques which assist them to maintain their position and remain competitive in the market. Use of defensive strategy helps to curb competition which may result to decrease in the company’s market share. A company may opt to decrease the prices of their products or rather improve the features of a product which cannot be provided by the competitors. Wal-Mart and Amazon are good examples in this. Wal-Mart reduced the price of their bestselling book in the market and instantly Amazon matched its price. This made Wal-Mart to decrease the price again so that they can secure their position in the market. Defensive strategy can be used to sharpen a company’s vision this by maintaining focus on what is in the market. This will involve a research on competition probability and having assumption of how far their effort can get them
In Bruckner, R. K. (2013). Migration, globalization, and the State
The globalization and regionalization strategies have to be planned for appropriately so that trade of the products may be competitive. This will improve the growth and development in different countries. A company should therefore be on look on the competitors so that they are able to know the type of techniques to use to reduce the completion. Defensive strategy is the best strategy to use since company’s can weaken the completion in the market to retain their position and also protect their market share. Advertising is however the best technique companies can use to remain competitive in the market since it’s able to highlight unique features that a product contains. It also allows customer to make quick comparison against the other products that provide the same service.